Getting paid faster shouldn't be complicated. Yet finance teams struggle with lengthy payment cycles, manual processing, and the constant juggling of multiple payment channels. While buyers expect flexible payment options, suppliers need efficient processes that accelerate cash flow without sacrificing customer relationships.
The solution lies in automated payment services—technology that streamlines payment acceptance, reduces manual work, and puts suppliers back in control of their cash cycle. By transforming traditional payment processes into digital workflows, businesses can significantly reduce their Days Sales Outstanding (DSO) while meeting customer expectations.
From implementation strategies to ROI measurement, understanding the power of payment automation opens new possibilities for improving financial operations. Let's explore how these solutions can transform your payment processes, examining key features, practical steps for success, and ways to track meaningful improvements in your collection cycles.
Download our eBook → Getting unstuck: Optimizing B2B payments processes
An overview of DSO and its impact on business health
Days Sales Outstanding directly impacts your company's financial health and operational capabilities. This critical metric measures the average number of days it takes to collect payment after a sale, affecting everything from cash flow to growth potential.
Why DSO matters
- Indicates efficiency of collection processes
- Reflects strength of customer relationships
- Impacts working capital availability
- Influences ability to invest in growth
- Affects credit ratings and borrowing costs
Collection roadblocks
Manual payment processes create bottlenecks between invoice delivery and payment receipt. Paper checks require physical handling, credit card payments demand manual entry, and reconciliation across channels drains valuable time. These inefficiencies stretch DSO and strain already limited resources.
Payment processing services for businesses eliminate these collection roadblocks, streamlining the entire process from invoice to reconciliation. By digitizing these workflows, finance teams can focus on strategic initiatives rather than chasing payments, while significantly reducing the time between sale and collection.
The hidden costs of manual payment processing
Beyond the obvious impact on DSO, manual payment processing carries significant hidden costs that affect both operational efficiency and strategic growth. Finance teams implementing automated payment systems often discover expenses they didn't realize were draining their resources.
Here's how these costs manifest across three critical areas:
Time and resource drain
Every minute spent on manual payment processing represents time lost on strategic initiatives. Teams face an endless cycle of repetitive tasks that consume valuable resources:
- Staff hours consumed by data entry and verification
- Extensive manual reconciliation across payment methods
- Delayed payment posting and cash application
- Time-intensive exception handling and research
- Multiple system maintenance requirements
- Constant payment status investigation
Financial impact
The true cost of manual processing extends beyond basic transaction fees, creating a web of hidden expenses that affect your bottom line:
- Higher payment processing fees
- Additional staffing for manual tasks
- Error correction and investigation costs
- Lost early payment opportunities
- Unnecessary bank fees
- Redundant technology expenses
Customer relationship strain
Without efficient electronic payment options, customer satisfaction suffers as businesses struggle to meet modern payment expectations:
- Restricted payment method options
- Frequent processing delays
- Payment error frustrations
- Slow inquiry response times
- Limited payment status visibility
- Inconsistent payment experiences
The complexity of managing various payment methods without automation creates a cascade of inefficiencies. Each manual touchpoint increases the risk of errors and delays, while valuable staff time gets consumed by tasks that a B2B payment processing solution could handle in seconds. These hidden costs compound over time, making the shift to automation not just a convenience, but a financial imperative.
Download our solution guide → Start facilitating payments on your terms with Billtrust Payments
How automated payment services transform the collection process
Payment automation revolutionizes how businesses handle incoming payments by creating digital workflows that accelerate processing while reducing manual intervention. Organizations leveraging electronic payment solutions gain unprecedented control over their collection cycles.
Digital payment channels
Modern automatic payments streamline every step of the transaction:
- Electronic payment acceptance
- Digital invoice presentation
- Automated reconciliation
- Real-time payment status updates
- Integrated remittance handling
Straight-through processing advantages
Automated payment solutions eliminate traditional bottlenecks:
- Immediate payment validation
- Automatic posting to accounting systems
- Real-time cash application
- Reduced processing delays
- Elimination of manual data entry
Multi-channel payment acceptance
Comprehensive solutions support diverse accounts payable needs:
- Credit card processing
- ACH transactions
- Electronic funds transfers
- Digital wallet payments
- International payment methods
Payment visibility benefits
Real-time insights transform decision-making:
- Transaction monitoring
- Instant payment confirmation
- Detailed payment analytics
- Transaction history tracking
- Payment trend analysis
This shift toward automated processing creates a fundamental change in how finance teams operate. Strategic financial initiatives take center stage as streamlined workflows eliminate manual touchpoints, transforming transaction management from a burden into a competitive advantage.
Key features to look for in payment automation
Selecting the right automated payment services requires careful evaluation of features that drive efficiency and results. Consider these essential capabilities when evaluating potential solutions:
- Seamless integration: Every system in your financial ecosystem must work together seamlessly, from ERP and accounting software to banking platforms and custom applications.
- Multi-channel acceptance: Modern payment platforms need to handle all payment types through a unified interface, eliminating the complexity of managing separate systems.
- Security architecture: Comprehensive protection includes PCI DSS compliance, encryption protocols, fraud prevention tools, and detailed audit trails.
- Customer self-service: Digital payment portals should offer saved payment methods, automated recurring payments, and complete transaction history access.
- Real-time monitoring: Dashboards and reporting tools must provide instant visibility into payment status, trends, and detailed analytics.
- Intelligent reconciliation: Automated matching capabilities reduce manual intervention and accelerate the cash application process.
- Communication tools: Automated payment reminders, confirmations, and account updates streamline the collection process.
- Future-ready infrastructure: The platform should handle growing payment volumes and new payment methods without performance degradation.
- Regulatory compliance: Built-in updates and certifications maintain alignment with evolving payment industry requirements.
Finance leaders need technology partners who understand the complexities of modern B2B payments. Billtrust stands out by offering a comprehensive, supplier-centric payment platform that incorporates all these essential features while maintaining a focus on accelerating cash flow.
Implementation strategies for payment automation success
Deploying automated payment services requires more than just selecting the right technology. A successful implementation demands careful planning, clear communication, and strategic alignment across departments.
Organizations approaching this transformation should focus on three key areas:
Assessment phase
Begin with a comprehensive evaluation of your current state:
- Review current payment acceptance methods
- Document manual processes and bottlenecks
- Evaluate technical infrastructure
- Assess staff capabilities and training needs
- Map data flow between systems
Goal setting
Transform high-level objectives into specific, measurable targets:
- Define DSO reduction expectations
- Set processing efficiency targets
- Establish cost reduction goals
- Create customer adoption metrics
- Develop resource optimization benchmarks
Change management
Address the human element of automation with detailed planning:
- Design training programs
- Develop process documentation
- Create internal communication strategies
- Establish support procedures
- Plan phased implementation approach
Success with payment automation requires a commitment to continuous improvement and refinement after launch. Regular assessment of metrics and user feedback enables organizations to optimize their implementation and maximize return on investment.
Transform your payments ecosystem with the industry's most powerful automation platform
Since 2001, Billtrust has pioneered the evolution of accounts receivable processes, establishing itself as the leader in automated payment services. Our flagship solution, Billtrust Payments, serves as the backbone of our unified AR platform, processing over $100B in payment revenue and connecting with 200+ AP portals worldwide.
Billtrust Payments rebalances the AR/AP dynamic by putting suppliers back in control while maintaining customer payment flexibility. Our supplier-centric platform uniquely combines straight-through processing with comprehensive payment acceptance capabilities:
- Industry-leading automation: Process Level 2 and 3 credit card data automatically, optimize interchange rates, and leverage dynamic surcharging capabilities to control costs.
- Complete payment flexibility: Accept all payment methods, including credit cards, ACH, wires, and email payments through a unified digital platform.
- Enhanced security features: Protect transactions with PCI DSS compliance, advanced encryption, and robust fraud prevention tools.
- Branded payment experience: Offer customers a seamless, professional payment portal that builds confidence and encourages digital adoption.
- Intelligent cash application: Accelerate cash flow with automated reconciliation and straight-through processing capabilities.
Billtrust's expertise spans 40+ industries, supported by dedicated B2B digital adoption specialists who help optimize your payment acceptance strategies. Our consultative approach ensures you maximize the value of your automated payment services while maintaining strong customer relationships.
Transform your AR operations today. Schedule a consultation to discover how Billtrust Payments can accelerate your cash flow while reducing costs.
Frequently Asked Questions
Check out the FAQs for general questions. Find helpful answers quickly to get the information you need.
Automated payment services are technology solutions that digitize and streamline the entire payment acceptance process, from invoice presentation through reconciliation, reducing manual intervention and accelerating cash flow.
These solutions speed up payment collection by enabling instant payment processing, providing multiple payment options, automating reconciliation, and eliminating manual delays in the payment cycle.
Most payment methods, including credit cards, ACH, wire transfers, electronic funds transfers, and digital wallets, can be automated. The key is choosing a solution that supports your customers' preferred methods.